Case Study: Sealing a Multifamily Deal in Pasadena, CA

Overview

The property is located in the northeast region of Pasadena, known for its strong demographics and robust rental community.

 

The seller was a private client that aimed to reposition equity from an investment requiring lease management responsibilities into a more passive investment, specifically transitioning into Triple Net (NNN) Investments to increase cash flow.

 

The buyer, a local resident, was drawn to the area and saw potential for increased rental income through a hands-on management approach. They planned to undertake significant capital improvements to both the interior and exterior of the property, with the goal of boosting rents and enhancing annual income.

 

Challenges at 1429 N Altadena Dr.

The primary challenge was navigating the impact of rising interest rates and a generally subdued market sentiment, which made it difficult to attract investor interest at the initial list price. Despite these obstacles, we were able to successfully market the property.

 

The Solution for the Multifamily Facility

We successfully closed the deal through consistent and proactive communication with all parties involved. By managing every aspect of the transaction efficiently, we facilitated a smooth closing, despite the challenging market conditions.

 

The Outcome

The five-unit property was sold for an impressive $303,000 per door and $451.83 per square foot. We are currently negotiating the acquisition of a replacement property, which will further increase the client’s cash flow while minimizing their management responsibilities.

 

Client Testimonial

“I could not be happier with the outcome of the sale of the Altadena property. Daniel did an outstanding job throughout the process, and I am truly grateful for his expertise in achieving the highest sale price and facilitating the acquisition of my replacement property. I strongly recommend Daniel Withers and his team.”